China’s life science industry is growing quickly, and most experts in the prediction industry place the rate of growth at about 20%, a very healthy number. IMS Health (NYSE: RX), a global pharmaceutical consultancy, expects slightly better results for China: 22% compound annual growth rate during 2010-2013. That compares to a 4% to 6% rate in the global market. In fact, IMS Health thinks China will be responsible for 21% of all growth in the worldwide pharmaceutical market in the next four years.
Fifteen early stage China entrepreneurs from a broad spectrum of life science fields were selected as Finalists in the SEED Competition, which makes them eligible for the Grand Prize of 300,000 RMB ($45,000) The winner will be named at the SEED Final Competition and Award Ceremony in Shanghai on April 23, 2010. Roche (SW: ROG), OrbiMed, and McKinsey organized the SEED competition, which was managed and presented by ChinaBio® Accelerator.
Chi-Med (AIM: HCM) plans to spin off its drug development arm, Hutchison MediPharma, within two years, possibly through an IPO on the Nasdaq exchange. According to the company, the offering would be the largest Nasdaq IPO of a China biotech. At the same time, Hutchison MediPharma is seeking a partner for its lead product, HMPL-004, a treatment for ulcerative colitis that recently announced positive results from a Phase IIb trial in the US.
WuXi PharmaTech (NYSE: WX) as struck a two-way pre-clinical services deal with Johnson & Johnson Pharmaceutical Research & Development, a division of Janssen Pharmaceutical. WuXi PharmaTech will provide toxicology and other non-clinical services to Janssen, while Janssen will help WuXi attain GLP status in its new Suzhou toxicology lab.
aTyr Pharma has received a second 18-month grant to fund the research being carried out by its Hong Kong subsidiary, Pangu BioPharma. In Hong Kong, aTyr collaborates with the Hong Kong University of Science and Technology (HKUST). The grant, issued by The Innovation and Technology Commission of the Hong Kong government, matches research funds spent by Pangu-HKUST.
Sanofi-Aventis (NYSE: SNY) wants to continue building its presence in China. Company officials said Sanofi-Aventis will seek additional partnerships following the joint venture announced last month with Minsheng Pharmaceutical, a JV that will develop vitamin and mineral products in the consumer healthcare sector. Sanofi has gone on record to say it prefers the partnership approach in China, as opposed to building its own R&D center.
Asymchem Laboratories, a North Carolina company with an extensive network of CMO facilities in China, has agreed to build another manufacturing plant in the Tianjin Economic-Technological Development Area (TEDA), according to China Knowledge. This project will focus on R&D, production and distribution of biomedical products.
Mindray Medical (NYSE: MR), the medical device company headquartered in Shenzhen, issued a very positive financial report for 2009. The company recorded revenues of $634 million, an increase of 16%, while net income climbed to $139.2 million, a 28% jump. For 2010, Mindray said it expects revenue growth to continue at a 17% pace.
Mindray Medical followed up its earnings announced with a secondary offering of 4 million American depositary shares, priced at $38.20 per ADS, raising $152.8 million in new cash. Mindray closed the previous trading session at $38.00. Because Mindray seems to have plenty of cash, the offering was a surprise, and may indicate the company is eyeing some future acquisitions.
Biostar Pharmaceuticals (OTCBB: BSPM) said it expects 2010 revenues of about $70 million and net income of $17 million, excluding non-cash charges. The company is on track to report 2009 revenues of around $52 million, which means the 2010 guidance represents an increase of 35%.
Kalen Biomedical of Maryland, US has found a partner to distribute its lipoprotein research products in China. MingRui Biotech Co., Ltd. of Shanghai, which is already involving in marketing biological reagents, will be Kalen’s China representative for its portfolio of cardiovascular research tools.